The Ministry of Skill Development and Entrepreneurship (MSDE) on Wednesday invited industry leaders to participate in the upgradation of Industrial Training Institutes (ITIs) under the PM-SETU scheme, marking a shift towards industry-led vocational training in the country.
According to an official release, the initiative will be implemented through State and Union Territory governments and the Directorate General of Training (DGT). The ministry has issued an Expression of Interest (EOI) to identify Anchor Industry Partners for the upgradation of National Skill Training Institutes (NSTIs). Several States and Union Territories have also begun releasing EOIs for the transformation of select ITIs.
So far, Karnataka, Gujarat, Assam and Chandigarh have issued EOIs inviting industry participation.
The PM-SETU scheme, approved by the Union Cabinet in May 2025, has an outlay of Rs 60,000 crore. The scheme was launched by Prime Minister Narendra Modi on October 4, 2025, with the objective of aligning vocational training with current and future industry requirements.
Under the scheme, 1,000 government ITIs will be upgraded using a hub-and-spoke model. Around 200 hub ITIs will support approximately four spoke ITIs each, with access to advanced machinery and modern equipment. In addition, five National Skill Training Institutes located in Bhubaneswar, Chennai, Hyderabad, Kanpur and Ludhiana will be upgraded as global Centres of Excellence.
A key feature of PM-SETU is its industry-led governance model. Each upgraded ITI will be managed through a Special Purpose Vehicle (SPV), in which industry partners will hold a 51 per cent stake, while the government will retain 49 per cent ownership. The model also provides for government co-funding of up to 83 per cent of the project cost.
As Anchor Industry Partners, companies will be responsible for designing industry-relevant, job-linked curricula, setting up advanced laboratories and digital learning infrastructure, and supporting faculty upskilling through industry exposure. The initiative is also expected to promote innovation hubs within campuses.
The ministry said the industry-led approach under PM-SETU is aimed at strengthening India’s skilling ecosystem and preparing a future-ready workforce to meet the demands of a rapidly evolving economy.
